The bill S. 306 proposes to amend the South Carolina Code of Laws by adding Section 12-6-3830, which establishes a tax credit for taxpayers whose children attend qualifying private schools, parochial schools, or home schools for grades K-12. The tax credit amounts are set to increase over the years, starting at $2,000 for the 2025 tax year, rising to $4,000 in 2026, $6,000 in 2027, and reaching $8,500 for 2028 and subsequent years. The credit is refundable beginning in 2027. To qualify, schools must meet specific criteria, including providing an affidavit of their K-12 status and making financial statements available to families. Additionally, taxpayers claiming this credit cannot also claim the exceptional needs tax credit in the same year.

The bill also includes provisions for enforcement and compliance, allowing parents to assert violations in legal proceedings and seek damages. The Attorney General is empowered to enforce compliance with the new section, and the Treasurer is tasked with certifying eligible schools and maintaining a public list of them. Furthermore, the bill outlines a reduction in State Aid to Classrooms for each student who leaves public school for a qualifying institution, with specified amounts for each school year. The act will take effect upon the Governor's approval.

Statutes affected:
02/04/2025: 12-6-3830
Latest Version: 12-6-3830